Hire, Fire, Re-Hire: Emerging Talent Acquisition Strategy

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Hire, Fire, Re-Hire

Not so long ago, it used to be a given that you’d hire someone, provide them with the training they needed, and help them reach the required standards. However, the world has changed—and so have the ways that companies acquire talent.

Today, companies hire employees for their skill sets and allow them to develop those skills as they go. They fire employees who are not meeting expectations and re-hire them when they can produce the expected results. This isn’t just an exciting trend: it’s a strategy that’s proven successful time and time again.

Several studies have shown that re-hiring employees can be more cost-effective than hiring new people from scratch. The research found that major companies saw their productivity increase by 40% due to the friendly working workspace; however, some smaller brands experienced a 20% drop in job performance.

Want more detailed information about this strategy? Continue reading as we discuss the in-depth concepts of this talent acquisition strategy.

Is Terminating Employees Beneficial?

It depends. Sometimes, it’s a great idea. Sometimes, it’s not. It all depends on your company’s needs. If you have a lot of turnovers, or if you’re constantly hiring new people when your current ones leave, then yes—terminating employees can be beneficial. You’ll save money on training costs and make room for the new talent that you’re looking for.

If you have a few turnovers and are happy with the employees who work for you now, then terminating them probably isn’t helpful. In this situation, if you don’t properly staff your company after a layoff, the work quality and remaining employees’ mental health may suffer.

Is it a Cost-Effective Strategy?

No, “hire, fire, re-hire” is not cost-effective.

Every time you hire someone, you have to pay them their salary and benefits for however long they work for you before they quit. If they stay long enough to earn those benefits, you might end up paying more in unemployment insurance than if you’d hired someone more fit for the job.

Furthermore, suppose a former employee files a lawsuit against your company for wrongful termination or discrimination. In that case, it could cost tens of thousands of rupees in legal fees and settlements—and even more in lost productivity while you’re dealing with the litigation.

In addition to the financial costs of “hire, fire, re-hire,” there are also human costs. If an employee feels hurt or betrayed by being fired or laid off, they may never want to return to your company, even if it means a higher salary.

Is it Wise For Companies to Hire This Talent Acquisition Strategy?

Yes, it is sometimes wise for companies to hire a “Hire, Fire, Re-hire” talent acquisition strategy. This is because the industry needs people willing to take risks and make a change in their lives.

Hiring someone fired from a previous job may be a risk for the company, but it can also be rewarding. Employees may not have worked to their full potential due to any factor in their previous workplace, but you can allow them to do so. Employees will be grateful for the opportunity and will work hard to prove themselves.

The company should have an interview process to ask employees what happened in their previous position, why they left, and how they would handle similar situations if they happened again. This lets you determine whether they fit into your organization’s culture and values.

 

What Should Be The Correct Hiring Strategies For Businesses?

  1. Campus/University Recruiting

College campuses are great places to find candidates for your business. They’re full of bright, talented, and enthusiastic students looking for ways to get their foot in the door.

  1. Social Media Recruiting

Social media is an excellent way to recruit employees. The best thing about this strategy is that it’s free (besides your time investment), so it doesn’t cost anything extra to post job listings on Facebook or LinkedIn and wait for applicants to come rolling in!

  1. Online Competitions

Online competitions are another great way to find new hires—and they don’t necessarily require any additional cost! You can set up an online competition through sites like TopCoder or CodeCup, giving you access to thousands of developers.

  1. Employee Referral Program

This is a program in which employees are rewarded for referring others to the company. These rewards can include cash incentives or other perks, such as time off or discounts on products or services offered by the company. This method significantly cuts costs for the company.

To Sum Up

‘Hiring, firing, re-hiring’ is not often the best talent acquisition strategy. The reality is that there are more effective ways to ensure your company has the right people in place to succeed.

While companies want to be able to hire and fire as they need to, it is essential to consider how these decisions impact your company culture and morale. Finding the right balance between keeping employees motivated and bringing new talent when needed.

Automation is often the way to go when hiring employees today. If you’re looking for payroll and HR software that’s easy to use, affordable, and flexible enough to integrate with your existing systems, Paybooks is the solution for you.